The use of reclaimed water is becoming increasingly common as water and wastewater
utilities seek to use water resources more efficiently, meet wastewater disposal
requirements, and accommodate system growth in the absence of other potable water
sources. But when does the direct distribution and use of reclaimed water make economic
sense? This paper examines the use of five alternative economic analyses to examine this
question:
a customer specific analysis that estimates the economics of providing reclaimed water
service to specific types of customers (e.g., a new residential development, a local
irrigation customer);
a plant specific analysis that estimates the economics of distributing reclaimed water
from a specific reclaimed water plant;
an avoided cost analysis that estimates the economics of reclaimed water based on
avoided potable water system costs;
a net present value analysis that examines the current worth of future reclaimed water
and avoided potable water system operations; and,
a water rights mitigation analysis that examines the use of reclaimed water for use in
obtaining additional potable water rights.
A case study using information from the LOTT Wastewater Alliance in Thurston County,
Washington examines the use of these five economic analyses. Among the conclusions
reached in the study is the importance of the type and amount of reclaimed water use by
potential reclaimed water customers, the distribution infrastructure required to provide that
service, and the length of the irrigation season in determining the economic viability of the
direct distribution and use of reclaimed water. Includes tables, figure.